Google to Pay $135 Million to Resolve the Android Data Transfer Lawsuit

Alphabet Inc. (NASDAQ:GOOGL) is among the Ken Fisher Stock Portfolio: 12 Best Stocks to Buy.

Reuters reported on January 28, 2026, that Alphabet Inc. (NASDAQ:GOOGL)’s Google had agreed to pay $135 million to resolve a proposed class action claiming that its Android operating system had acquired user data without authorization. The tentative settlement, which needs judicial approval, was submitted to a federal court in San Jose, California. It has been covering Android device users since November 12, 2017. The plaintiffs claimed that data was gathered even when displays were locked, apps were closed, or location sharing was turned off. The company denied any misconduct. The agreement requires disclosure in Google Play terms, includes simpler toggles to halt transfers, and needs approval prior to data transfers during phone setup. Plaintiffs’ attorneys may demand up to $39.8 million in fees, and payments are limited to $100 per user.

In another development, TheFly reported on January 27, 2026, that Roth Capital maintained a Buy recommendation ahead of Alphabet Inc. (NASDAQ:GOOGL)’s fourth-quarter reports. It boosted the company’s price objective from $310 to $365. The company listed several catalysts, such as key events, Waymo city launches, Gemini milestones, TPU partnerships, and predictions of a modest earnings beat.

Alphabet Inc. (NASDAQ:GOOGL) is a holding company that works in the fields of software, healthcare, transportation, and other technology.

While we acknowledge the potential of GOOGL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 20 Best Performing Stocks in 2025 and 12 Best Food Stocks to Buy in 2026. 

Disclosure: None. This article is originally published at Insider Monkey.